The Fourth Railway Package – public hearing – Brussels 7 may 2013 Public hearing: Committee of Transport and Tourism Brussels 7 May 2013 Newcomer´s perspective -1 - WESTbahn – facts - leather seats - 4 Bistros - Free WiFi - 4 to 10 Stewardesses / Stewards per train - route: Vienna – Linz – Salzburg – Freilassing - house-tariff tickets: valid for 1 year - timetable 2013: about 3,16 million train refund, exchanges for free kilometers - passenger charter (-25/50%) - almost hourly traffic - compensation for delays automatically - 7 trains sets – double-deck – 501 seats; credited ticket = coupon 200km/h -2 - WESTbahn - expectancy before market entry fair chance for invest payback fair competition non-discriminatory conditions -3 - WESTbahn – report traffic permit & security certificate – in time, done Vehicle homologation in Switzerland – cross acceptance Austria (no automatic recognition of safety engineering in Germany) first WESTbahn timetable concept phase – outlook: travel time 2:45 Vienna – Salzburg first tim etable offer: travel time 3:00; including a stop of 8 min (overtaking by ÖBB PV AG) regulatory proceeding in august 2011: settlement reached most trains travel time: 3:00 current timetable 2013 path allocation coached by regulator (2012) – fast compromise reached customer view: 4 long-distance trains departing/arriving from/to Vienna within 20 min – afterwards 40 min no service suboptimal result for the customer WESTbahn – report competitive environment March 2010: amendment in the Austrian Federal Procurement act to allow direct awards over 100.000€ for public rail services February 2011: direct award retroactively from 4/2010 given to ÖBB-PV AG Trains Vienna- for 71,1 million train kilometers (timetable 2011) = nearly 80% of all local and Salzburg- long-distance services of ÖBB-PV AG Innsbruck- Long-distance trains from Vienna-Salzburg are not part of the direct award Switzerland: from Salzburg westwards with WESTbahn started legal actions: pending at supreme administrative court subsidies current: new direct awards last announcement for direct award 3/2013: Linz- Graz for IC-trains to ÖBB-PV AG; starting from 12/2013 ( today served by WESTbus-offer) pricing: Three months before market entry of WESTbahn; new national offer from ÖBB- PV AG starting from 9€ After annual price increase between 2005-2009 from mid 2009 to today: just one price increase mid 2012 WESTbahn: complaint before the federal competition authority -5 - WESTbahn – report Infrastructure-usage fee: since 2012 strong increase – before: yearly small increase regulator initiated a proceeding Direct award to ÖBB-PV AG for nearly 80% of all regional-and long-distance Non predictable costs high risk train services includes the clause that for newcomers to fail economically. additional infrastructure usage fees will be refunded by the state -6 - WESTbahn – report operative settlement few problems (sometimes local and after interruptions in the line security system) infrastructure: timetable information, platform information, announcement of trains,.. non-discriminatory train management on the line customer information and promotion: with regulator help real-time data no access was granted WESTbahn regulatory proceeding resulted in a question and predecision of European Court of Justice in the meanwhile: access to the data has been granted by ÖBB-Infrastructure positioning of WESTbahn-promoters in the railway stations: at the beginning ÖBB Infrastructure fixed small sections to move/stand (1 x 1m); Security monitoring, high cost allocation for WESTbahn (regulator: different to ÖBB-PV AG) regulatory proceeding: ÖBB Infrastructure position was refused – now free access – free movement in the stations timetable and price-info-columns: first ÖBB Infrastructure approved only 50% of all ordered places in railway stations regulatory proceeding: a few days before decision meeting of the commission; all locations approved contracts with advertising companies imposed a ban on WESTbahn orders for station advertising intervention of regulator: changed contracts -7 - WESTbahn – report essential facilities: WESTbahn timetable integration in ÖBB-PV AG system “Scotty” after antitrust proceeding: WESTbahn was integrated ticketing-link still refused timetable 2013, 2014 – path allocation timetable 2013: Regulator coaching from the beginning - compromise timetable 2014: currently smooth handling competit ion issues outside of the scope of the 4th railway package transport associations in Austria old contracts - for example in Salzburg - allow the incumbents (rail and bus) the exclusion of newcomers up to four years from the normal revenue sharing account payments: long delays financing: Eurofima with state guarantee financing versus free market financing for the newcomer -8 - WESTbahn – expectation versus reality further improvements in non-discriminatory culture required support of regulator is essential – more competences needed for regulatory bodies private investors need predictable conditions unpredictable infrastructure cost development kills businessplans Customer-oriented timetable - even with competition (not 4 trains in 20 minutes – 0 trains in 40 minutes). -9 -.